When someone checks out in Magento with PayPal, and PayPal flags their payment for review, Magento correctly sets the order status to "Payment Review". However, if after a day or two PayPal decides the order is OK, it sends an IPN message to Magento with the proper payment status of "Pending" and pending reason of "authorization".

I can see this IPN message in Magento's paypal logs (and can simulate it with the sandbox), however, when Magento receives this message it does not update its order status. Why not and how can this be fixed? I am using Magento


Have you set up Paypal Standard Payments with IPN Notification as directed by the Magento documentation?

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